❌ Coinbase CEO against AI regulation

Talking Points

👀 Quick Market Outlook

Another week... another dull market. It seems we still have minimal movement but we are edging closer to the Bitcoin halving so it's just a patience game.

So... Let's jump into some insight 👇

As they say - If you zoom out, you get a better picture. And it seems here that we could still expect a drop to $20k but then it looks like the market could climb. But as usual, nothing is guaranteed, so have a plana and be safe.

⏸ Terra Classic community vote to stop minting

In a pivotal decision, the Terra Classic community has chosen to cease all minting and reminting activities associated with TerraUSD Classic (USTC) in an effort to restore a stable peg between USTC and the United States dollar.

In a recent community proposal, the outcome revealed that 59% of the participants were in favor of discontinuing USTC minting, while approximately 40% opposed the proposed change.

The primary objective of this move is to safeguard the interests of both the Terra Classic community and external investors. By reducing the supply of USTC, the community aims to work towards the restoration of the USTC peg to the U.S. dollar.

The backstory to this decision dates back to May 2022 when USTC became unpegged from the U.S. dollar. This decoupling had far-reaching consequences, with Terra's value experiencing a catastrophic collapse. Luna Classic (LUNC), closely linked to USTC, bore the brunt of this decoupling, plummeting by nearly 100%. This downturn in the crypto markets resulted in a staggering loss of approximately $40 billion in total market capitalization.

The community proposal also highlighted an important aspect: major crypto exchanges are now likely to burn USTC. The proposal stated, "Most importantly, this proposal opens the door for institutions like Binance to start burning USTC knowing that the minting and reminting is over."

This development follows reports that the Terra Classic community has expressed concerns over a surge in spam activity, coinciding with the decline in LUNC prices.

Moreover, as previously reported on September 10th, the Terra Classic community was voting on several proposals, including one to raise the minimum deposit requirement from 1 million LUNC to 5 million LUNC. The outcome of this particular proposal, which concluded and with overwhelming support, a 93.22% vote in favor of the increased minimum deposit requirement.

The Terra Classic community's proactive steps and commitment to stabilizing USTC demonstrate their determination to address the challenges that arose from the unpegging incident and to create a more secure and predictable environment for participants and investors alike.

🖼 NFTs finding South Korean interest

Dreamus, a prominent South Korean entertainment and events company and subsidiary of SK Planet, is making its foray into the world of blockchain by introducing NFT ticketing services through its parent company's rewards app.

This innovative app empowers fans to purchase tickets for a wide range of events, including K-pop concerts and other shows, in the form of Avalanche NFTs, all hosted on SK Planet's private Avalanche subnet, which was launched earlier this year.

Currently, Avalanche-based NFT tickets are available for events like this year's Seoul Jazz Festival and the timeless musical "Phantom of the Opera." While NFT tickets for the K-pop Superpop Festival were initially offered, they had to be canceled due to an unforeseen incident during stage installation. Refunds for these tickets are now being processed, as confirmed by the event's official website.

Dreamus' NFT tickets come with a distinctive feature—a QR code that activates on the event day. Notably, these NFTs differ from conventional ones found on platforms like OpenSea, as they are exclusively visible to the purchaser. This unique approach prevents unauthorized entry using someone else's NFT.

Dreamus' move into NFT ticketing aligns with previous NFT initiatives undertaken by influencers and celebrities, offering a creative approach to ticketing and membership. An example is social media entrepreneur Gary Vaynerchuck's 'Veecon,' a business conference in Minneapolis where holders of his 10,000+ piece NFT collection enjoy three years of access to the event.

Justin Kim, Head of Korea at Ava Labs, emphasized the potential of NFT tickets in addressing the persistent problem of bots and scalpers plaguing the live event ticketing industry. Kim noted that this practice hurts both artists and fans emotionally and financially.

Blockchain-based NFT tickets can incorporate features that combat resales or impose restrictions on resale prices, giving artists greater control over their events.

Gyosu Kim, Chief Business Officer at SK Planet, highlighted that blockchain-based tickets serve as a potent tool against scalping. He explained that the onsite authentication process enhances the overall event experience and prevents ticket scalping.

Numerous crypto startups are also entering the NFT ticketing space, such as Sports Illustrated Tickets on Polygon and Get Protocol on Tezos.

Looking ahead, Dreamus and SK Planet, a subsidiary of South Korea's largest wireless carrier, SK Telecom, are gearing up to launch a secondary marketplace for NFTs later this year. This marketplace will offer loyalty benefits and additional features.

Slowly but surely we are seeing growth within the Web3 world and NFTs are attracting more attention by the day. As the adoption continues, the more bullish the space is and the more exciting it becomes.

❌ Coinbase CEO against AI regulation

In a recent statement shared on the social media platform X (formerly Twitter), Brian Armstrong, the CEO of leading cryptocurrency exchange Coinbase, has made his stance on artificial intelligence (AI) regulation abundantly clear: he believes that AI should remain unregulated.

Armstrong's proclamation, made on September 23rd, underscores his conviction that the AI domain should experience unhindered development, primarily due to concerns related to national security. The Coinbase CEO contends that regulation, despite its well-intentioned motives, often results in "unintended consequences" that stifle innovation and competition.

Drawing a parallel, Armstrong harkened back to the early days of the internet, emphasizing that it thrived during what he dubbed the "golden age of innovation" precisely because it remained unregulated. He posits that a similar approach should be adopted for the burgeoning AI technology space.

Furthermore, Armstrong proposed an alternative strategy for safeguarding the AI realm—one that steers away from traditional regulation. Instead, he advocates for a path that encourages decentralization and open-sourcing, allowing the industry to flourish organically.

While Armstrong champions a hands-off approach to AI, various jurisdictions worldwide have initiated efforts to either regulate AI or express concerns about its potential ramifications. In China, for instance, provisional guidelines for AI activity and management took effect on August 15th, representing the country's first set of AI regulations amid the recent AI surge. These regulations are the result of collaboration among six Chinese government agencies.

In the United Kingdom, the competition regulator conducted an in-depth study of AI's potential impact on competition and consumers. The U.K.'s Competition and Markets Authority, in its findings announced on September 18th, recognized the transformative potential of AI in people's work and lives. However, it raised concerns about the pace of change and its potential to significantly disrupt the competitive landscape.

Brian Armstrong's vocal stance on AI regulation adds to the ongoing global dialogue about the appropriate framework for guiding the development and deployment of this transformative technology. There will always be mixed opinions but as with Web3 and other new occurrences, some things have to be embraced.

This article is strictly educational and is not investment advice or a solicitation to buy or sell any assets or to make any financial decisions.